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Paper 7
`Filed: December 29, 2015
`
`
`
`
`
`
`UNITED STATES PATENT AND TRADEMARK OFFICE
`
`
`
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`
`
`
`REFLECTIX, INC.
`PETITIONER
`
`V.
`
`PROMETHEAN INSULATION TECHNOLOGY LLC
`PATENT OWNER
`
`
`
`CASE IPR2015–01982
`PATENT 8,936,847
`
`
`
`
`
`
`
`
`1
`
`
`1 In accordance with 37 C.F.R. § 42.20(b), the parties received authorization
`
`from the Board to file this motion December 28, 2015 via email.
`
`
`
`

`
`Joint Motion to Terminate
`
`
`
`IPR2015–01982 (8,936,847)
`
`Brief Description
`No.
`2001 Patent License Agreement between Promethean Insulation Technology
`LLC and Reflectix, Inc. (Dec. 18, 2015)
`
`i
`
`

`
`Joint Motion to Terminate
`
`
`
`IPR2015–01982 (8,936,847)
`
`Pursuant to 37 C.F.R. § 42.74 (“The parties may agree to settle any
`
`issue in a proceeding”), Petitioner, Reflectix, Inc. (“Reflectix”), and Patent
`
`Owner, Promethean
`
`Insulation Technology LLC
`
`(“Promethean”;
`
`collectively “Parties”), jointly request termination of this Inter Partes
`
`Review (“IPR”).2
`I.
`
`The fact that this IPR is in a very early stage militates heavily in favor
`
`of terminating this proceeding. The Preliminary Response deadline was
`
`December 29, 2015. See Paper 3; see also § 42.107(b). The Board has not
`
`made an institution decision, and therefore the proceeding is still in the
`
`preliminary phase. See § 42.2 (“Preliminary Proceeding begins with the
`
`filing of a petition for instituting a trial and ends with a written decision as
`
`to whether a trial will be instituted.”) (emphasis in original). The Board
`
`has highlighted the early stage of a proceeding as an important factor in
`
`favor of termination. See, e.g., Samsung Elecs. Co. v. Nvidia Corp., No.
`
`
`2 The Parties have also filed (or will soon file) Joint Motions to Terminate in
`
`the co-pending IPRs concerning patents related to the patent-at-issue in this
`
`proceeding: IPR2015–00039 (7,935,410); IPR2015–00042 (7,935,411);
`
`IPR2015–00044 (8,327,601); IPR2015–00045 (8,343,614); and IPR2015–
`
`00047 (8,221,871).
`
`Page 1
`
`

`
`Joint Motion to Terminate
`
`
`
`IPR2015–01982 (8,936,847)
`
`IPR2015-01270, slip op. at 3–4 (PTAB Dec. 9, 2015) (Paper 11)
`
`(terminating proceeding after Preliminary Response but before Institution
`
`Decision despite Patent Owner’s objections). Given the stage of the
`
`proceeding, this key factor supports ordering termination.
`
`Indeed, by terminating the proceeding at this stage, the Board will
`
`conserve its resources. While 35 U.S.C. § 317 mandates that “[a]n inter
`
`partes review instituted under this chapter shall be terminated with respect
`
`to any petitioner upon the joint request of the petitioner and the patent
`
`owner” after the filing of any related settlement agreements (emphasis
`
`added), the Board need not expend time and effort, just to have the Parties
`
`renew this request should the Board institute a trial.
`
`Moreover, the Office Patent Trial Practice Guide recognizes the
`
`benefits of settlement:
`There are strong public policy reasons to favor
`settlement between the parties to a proceeding. The
`Board will be available
`to facilitate settlement
`discussions, and where appropriate, may require a
`settlement discussion as part of the proceeding.
`
`77 Fed. Reg. 48,419, 48,768 (Aug. 14, 2012). Terminating the proceeding
`
`in light of the Parties’ settlement promotes this public policy.
`II.
`
`Per § 42.74(b), a written settlement agreement made in connection
`
`Page 2
`
`

`
`Joint Motion to Terminate
`
`
`
`IPR2015–01982 (8,936,847)
`
`with the termination of this IPR is being concurrently filed with the Board
`
`along with a request to treat the settlement agreement as business
`
`confidential and to keep the agreement separate under § 42.74(c). [Paper 6
`
`& Ex. 2001].
`
`The Parties hereby jointly certify that there are no other written or
`
`oral agreements or understandings, including any collateral agreements,
`
`between them, including but not limited to licenses, covenants not to sue,
`
`confidentiality agreements, payment agreements, or other agreements of
`
`any kind that have been made in connection with or in contemplation of the
`
`termination of Case No. IPR2015–01982 pending before the Patent Trial
`
`and Appeal Board or the Parties in related civil proceedings styled
`
`Promethean Insulation Tech. LLC v. Reflectix, Inc., No. 2:15-cv-00028
`
`(E.D. Tex. filed Dec. 22, 2015) and Promethean Insulation Tech. LLC v.
`
`Sealed Air Corp. et al., No. 2:13-cv-01113 (E.D. Tex. filed Dec. 18, 2013).
`III.
`
`The Board has indicated that it expects a proceeding will terminate
`
`upon joint motion after the parties have filed a settlement agreement. See
`
`Oracle Corp. v. Cmty. United IP, LLC, CBM2013-00015, slip op. (July 25,
`
`2013) (Paper 13) (citing Office Patent Trial Practice Guide, 77 Fed. Reg.
`
`48,756, 48,765–66 (Aug. 14, 2012)). In light of the above, the Parties
`
`Page 3
`
`

`
`Joint Motion to Terminate
`
`
`
`IPR2015–01982 (8,936,847)
`
`respectfully request the Board to grant this motion for termination.
`
`
`Dated: December 29, 2015
`
`
`
` /Nathan J. Rees/
`Nathan J. Rees (Reg. No. 63,820)
`NORTON ROSE FULBRIGHT US LLP
`2200 Ross Avenue, Suite 3600
`Dallas, Texas 75201–7932
`Tel: 214.855.7164
`Fax: 214.855.8200
`nate.rees@nortonrosefulbright.com
`Attorney for Petitioner,
`REFLECTIX, INC.
`
`
`
`
`
`Respectfully submitted,
`
` /Joshua S. Wyde/
`Joshua S. Wyde (Reg. No. 57,698)
`THE LAW OFFICE OF JOSHUA S WYDE
`3740 Greenbriar St. #980609
`Houston, TX 77098–0609
`Tel: 713.482.1916
`Fax: 713.466.6563
`jwyde@wydelegal.com
`Counsel for Patent Owner,
`PROMETHEAN INSULATION
`TECHNOLOGY LLC
`
`
`Page 4
`
`

`
`
`
`CERTIFICATE OF SERVICE
`
`The undersigned certifies that on the twenty-ninth day of December,
`2015, a complete and entire copy of the foregoing “REFLECTIX, INC.
`AND PROMETHEAN INSULATION TECHNOLOGY LLC’S JOINT
`MOTION TO TERMINATE PROCEEDING,” including exhibits, if any, was
`served on the petitioner, per consent, at the electronic correspondence
`addresses shown below.
`
`
`Nathan J. Rees, Lead Counsel (Reg. No. 63,820)
` nate.rees@nortonrosefulbright.com
` Phone: 214.855.7164
`Wayne Livingstone, Backup Counsel (Reg. No. 60,988)
` wayne.livingstone@nortonrosefulbright.com
` Phone: 214.855.8386
`NORTON ROSE FULBRIGHT US LLP
`2200 Ross Avenue,
`Suite 3600, Dallas, TX 75201
`Fax: 214.855.8200
`
`
`Dated: December 29, 2015
`
`
`
`
`
`
`
`
`
` /Joshua S. Wyde/
`Joshua S. Wyde (Reg. No. 57,698)
`THE LAW OFFICE OF JOSHUA S WYDE
`3740 Greenbriar St. #980609
`Houston, TX 77098–0609
`Tel: 713.482.1916
`Fax: 713.466.6563
`jwyde@wydelegal.com
`Counsel for Patent Owner,
`PROMETHEAN INSULATION
`TECHNOLOGY LLC

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